North Carolina Down Payment Assistance Programs

Online Payments - The North Carolina Housing Finance Agency has two amazing programs for First Time Home Buyers. These programs will be the Mortgage Credit Certificate and the deposit Assistance Program.

If you qualify for one of the plans and you purchase a house between January 1, 2009 and December 1, 2009, you can ALSO be eligible for the $8,000 tax credit merely enacted into law in the Federal Economic Stimulus Plan.

First, who's a First Time Home Buyer? A First Time Home Buyer is someone who hasn't owned a house within the past three years. This is precisely the same qualifying definition.

A Mortgage Credit Certificate (MCC) is a national tax credit to help home buyers with moderate and low incomes. All home owners can claim an itemized deduction. An MCC “reduces your tax liability according to a share of the mortgage interest that you pay.

Should you qualify for the MCC, you can claim 20% of the interest you pay as a credit on your own federal income taxes. You are able to save around .

You will manage to join this should you qualify for 2009, for the MCC. This could reduce a buyer's tax liability .

Who Qualifies for an MCC?

Household income is defined as the “gross income of the mortgagor and any other individual expected to reside in the dwelling who's 18 years of age or older.”

House price limitations that apply in Durham, Orange and Chatham Counties and the income are listed below.

MCC Income Limits 1 Person $61,500 2 Individuals $61,500 3 Individuals $70,500 4 Persons $70,500

MCC Sales Price Limitations New Dwelling $220,000 Existing Home $210,000

Who Qualifies for Down Payment Help?

The purchaser only needs to pay $1,000 of their own funds and the load would pay as much as .

This program has stricter income limitations than the MCC program summarized above. Like the MCC application, it might be used together with all the new $8,000 tax credit on house purchases between December 1, 2009 and January 1, 2009. The down payment assistance, nevertheless, can not be employed together with the MCC. This is an either or scenario.

House price limitations that apply in Durham Orange and Chatham Counties and the income are given below.

Down Payment Assistance Income Limitations

1 Person $39,950 2 Men $45,650 3 Men $51,350 4 Men $57,050

Down Payment Assistance Sales Cost Limits New Dwelling $210,000 Existing House $210,000